About this calculator
Canada's minimum down payment is tiered, and the tiers changed with the December 15, 2024 reforms: 5% of the price up to $500,000; on homes between $500,000 and $1.5 million, 5% of the first $500,000 plus 10% of the remainder (so $35,000 on $600,000 and $75,000 on $1 million); and 20% at $1.5 million and above, where mortgage insurance is no longer available. Anything under 20% down means a mandatory CMHC insurance premium — financed into the mortgage, except for its provincial sales tax, which is cash at closing in Ontario (8%), Quebec (9%) and Saskatchewan (6%).
Against those costs, first-time buyers get real money back on the transfer tax — but only in some provinces, which is why this calculator is region-aware. Ontario refunds up to $4,000 of its land transfer tax. Toronto refunds up to $4,475 of its second, municipal tax, so a Toronto first-timer can recover $8,475 across the two. BC's first-time buyer program wipes out the property transfer tax on the first $8,000 of tax — a full exemption at prices up to $835,000, phasing out by $860,000. PEI is the most generous of all: first-time buyers are fully exempt from its 1% real property transfer tax, with no price cap. Quebec, Manitoba and most other provinces offer no transfer-tax rebate at all — one reason the same home needs very different cash in different provinces.
How to use it
- Enter the price and pick the region — Toronto is separate from the rest of Ontario because it charges a second tax with its own rebate.
- Leave "first-time buyer" ticked if every buyer qualifies (generally: never owned a home anywhere, and you will move in as your principal residence).
- Read the minimum down payment, the transfer tax after rebates, and the total cash figure — that total, not the down payment alone, is what must be sitting in your account on closing day (lenders typically also want proof of a further ~1.5% for other closing costs).
- Use the scenario table to see how a 10%, 15% or 20% down payment changes the premium and the cash total.
The formula
Each rebate is capped at the tax actually owing under that tax — Ontario's $4,000 refund erases its tax entirely below a price of about $368,000, and because Toronto's tax equals Ontario's at these prices, the combined $8,475 of refunds keeps a Toronto first-timer's total at zero up to roughly the same point. The CMHC premium itself is excluded from the cash total because it is financed into the mortgage; only its provincial sales tax is cash, and only in Ontario, Quebec and Saskatchewan.
Worked example
A $600,000 Ontario home bought by a first-time buyer: minimum down payment $35,000 (5% of $500,000 + 10% of $100,000). Ontario land transfer tax is $8,475, minus the $4,000 refund = $4,475. At the minimum down payment the CMHC premium is $22,600 (4.00% of the $565,000 loan), and Ontario's 8% tax on it is $1,808 in cash. Total cash for closing: $35,000 + $4,475 + $1,808 = $41,283. Buy the same home in Toronto and the two stacked taxes net to $8,475 after both refunds; in BC the tax nets to $2,000 after the exemption; on PEI it nets to $0.
Sources: Department of Finance Canada minimum down payment rules including the December 15, 2024 insured-mortgage reforms; Ontario, Toronto, BC and PEI first-time buyer rebate/exemption rules as published for 2026. Last updated: October 2026.
Frequently asked questions
What is the minimum down payment on a $600,000 home in Canada?
$35,000 — 5% of the first $500,000 ($25,000) plus 10% of the remaining $100,000 ($10,000), an effective 5.83%. On a $1 million home it is $75,000 (7.5%); the blended rate rises toward 10% as the price approaches the $1.5 million insurance cap, above which 20% is required.
How much cash do I need beyond the down payment?
At minimum: the land transfer tax after any first-buyer rebate, plus the provincial tax on the CMHC premium if you are in Ontario, Quebec or Saskatchewan. On top of this calculator's total, budget roughly 1.5% of the price for legal fees, title insurance, appraisal, registration and adjustments — lenders usually ask to see that buffer in your account as well.
Do first-time buyers get the land transfer tax back everywhere?
No. The meaningful rebates are Ontario (up to $4,000), Toronto (a further $4,475 on its municipal tax), BC (exemption worth up to $8,000 of tax, for homes up to $835,000, phasing out by $860,000) and PEI (full exemption from its 1% tax, no price cap). Quebec and Manitoba — the other provinces with significant transfer taxes — have no first-buyer rebate, and neither does Nova Scotia's municipal deed transfer tax.
Can I use the Home Buyers' Plan or FHSA for the down payment?
Yes — both count as traditional sources for the minimum down payment. The RRSP Home Buyers' Plan allows up to $60,000 per buyer withdrawn tax-free (repayable over 15 years), and the First Home Savings Account allows $40,000 of contributions that are deductible going in and tax-free coming out for a qualifying first home. Gifts from immediate family are also accepted by most lenders with a signed gift letter.
Why is there tax on the CMHC premium in the cash total?
Because it cannot be financed. The premium itself joins your mortgage, but Ontario (8%), Quebec (9%) and Saskatchewan (6%) levy sales tax on the premium amount, and that tax is payable in cash on closing day. At the minimum down payment on a $600,000 Ontario purchase it is $1,808 — small next to the down payment, but it is the line item buyers most often discover too late.
What formula does this canada down payment calculator use?
Minimum down = 5% × min(price, $500,000) + 10% × the slice between $500,000 and $1.5M; 20% of price at $1.5M+. Total cash = down payment + (transfer tax − first-buyer rebate) + provincial tax on the CMHC premium. Each rebate is capped at the tax actually owing under that tax — Ontario's $4,000 refund erases its tax entirely below a price of about $368,000, and because Toronto's tax equals Ontario's at these prices, the combined $8,475 of refunds keeps a Toronto first-timer's total at zero up to roughly the same point. The CMHC premium itself is excluded from the cash total because it is financed into the mortgage; only its provincial sales tax is cash, and only in Ontario, Quebec and Saskatchewan. The worked example on this page applies the formula step by step with real numbers, so you can verify the result by hand.